Back to the list
How will HR change in 2021? HR Trends post-Covid-19

How will HR change in 2021? Digital HR Trends post-Covid-19

The New Normal and the Future of Work

 

The Covid-19 pandemic will be recorded in history as an aberrational event that significantly and permanently changed the present and future of work forever indefinitely. While the past 12 months have been mentally and emotionally taxing, we have now started to adapt the way we work to suit the new restrictions and, therefore, the ‘new normal.’

 

Business today is all about people, meaning that processes, practices, and upcoming HR trends in the 2020s will be very diverse. However, the latest HR trends are often featured in annual trend reports, headlines, and industry-leading events. In this guide, we will discuss the new normal and the hot HR trends for 2020.

 

Dusan Stanar, CEO of VSS Monitoring, discusses his predictions for what’s to come in HR in 2021, “The top digital trend for HR would be to *reliance more on Data-driven insights*. As more employees are working remotely due to the COVID-19 pandemic, companies are frequently investing in tools to help them evaluate the productivity and engagement of their workforce (particularly for frontline employees). HR departments are having to find ways to ensure that

employees are hitting targets while maintaining a work environment that takes mental well-being into consideration.”

 

What is HR’s role in a post-Covid world?

 

Human resources teams have never been more critical than in the past 12 months, CROs and their teams have never before been relied on to make challenging executive decisions that genuinely could change the way we work. All over the world, in various sectors and organizations, CROs are leading the discussion on how to develop a ‘new normal’ and how businesses can ensure continuity throughout this new development.

Successful teams have accelerated the adoption of digital HR tools, which has led to universal recognition of what HR teams can achieve. As we’ve been in the COVID-19 chaos for some time, we now have time to take a step back and look forward. In terms of the future of business, 2021 will be a defining year for many business and HR professionals. We have compiled a list of digital HR trends to focus on in 2021.



6 Digital HR Trends to Focus on in 2021

1. Workforce analytical tools 

Analytical tools are set to be very present in 2021. These tools will ensure optimization of workforce costs: Employee costs will continue to be a large area of concern for organizations battling a slowdown in global and domestic demand, raw material availability, and logistical challenges.

Organizations will follow an inconsistent, unpredictable, and erratic recovery path as Covid-19 continues to torment the global economy well into 2021. We believe that businesses will need to deploy zero-based workforce planning based on digital job evaluation and other strategic workforce planning tools to ensure their organization structures are re-aligned to the new business realities in the post-Covid-19 world.

 

2. Purpose-driven businesses

Though working from home seems to be here to stay, many employers fear a flag in productivity and commitment as the trend continues. In 2021, we may see an increase in ‘purpose-driven’ businesses, which could remedy many of the challenges of motivation that home workers will increasingly face.

A purpose-driven business is a company that brings its purpose to the core of its organization. This means that decisions, conversations, and behavior across all levels, and all employees, need to be integrated with that purpose.

 

3. Collaboration and engagement tools will become digitized

The work from home (WFH) era has created insecurity among employees due to the limited visibility and immense pressure to perform their best. Employers may feel worried about measuring workforce productivity. Digital and virtual collaboration, communication, and engagement tools will redefine the way we interact with our co-workers. In 2020, most organizations managed the immediate shift to MS Teams, Zoom, Slack, and other co-working platforms; we expect to see many more of this in 2021.

 

4. HR based apps will enhance employee experience

As most businesses continue to operate remotely or under limited capacity, companies will need to enhance employee experience using the app-based HR ecosystem. These will provide coverage of all the touchpoints in a person’s employment lifecycle.

There are vast tech solutions available in the HR space, and employers will need to integrate these with their platforms to provide a seamless on-demand experience to employees without worrying about not being in the office.

 

Jake Smith, Managing Director of Absolute Reg, “Employee well-being will continue to be one of the key areas HR professionals will focus on. Today’s employees are more stressed than ever, and the burden is on companies to offer workplace wellness programs. These wellness programs promote employee well-being and help workers stay in good health, helping them be more productive and feel more involved at work. Aside from pushing initiatives that foster employee well-being and health— healthier lunch options, like on-site fitness classes and support programs for stopping smoking—more HR professionals will also promote mental health among their employees. This supports survey findings by the Global Wellness Institute that 65% of companies are raising the spending on mental health wellness for their employees.”

 

5. AI-based tools will re-define the functional capability building

As organization structures, roles and capabilities evolve, in 2021, it will become imperative to stay ahead of the curve by using AI-based platforms to identify emerging functional competencies. Workspaces in the post-Covid world pose a unique challenge and a fantastic opportunity for HR leaders to learn and develop their work practices. The defining moment of our times will be to execute these far-reaching changes in an effective and agile manner while remaining human-centric in our approach.

 

6. Job crafting - personalizing your position

The shift we’ve seen this year in the way many of us work inevitably leads to employees creating their optimal work environment. They arrange their workspace at home as they see fit, they might work outside regular office hours if that suits them better, and while some people may feel the need to check in with their colleagues for a Zoom coffee each day, others may prefer doing so once a week. When it comes to the actual work employees do, it seems natural that they’ll want to make some (small) adjustments there, too.

This is where a concept such as job crafting comes in. Job crafting aims to improve people’s jobs for the benefit of both the employee and the organization. It’s a technique that enables employees to enhance their careers in five different ways: tasks, skills, purpose, relations, and well-being.



How can Heartpace help your HR department in 2021

 

Overall, it’s a new year, which provides a unique opportunity to develop your HR systems and teams further. At Heartpace, we take pride in providing a complete HR solution in HR management software combined with high-level Performance Management systems. Stay up to date this 2021 with Heartpace. You can rest assured that your HR team is in capable hands. 




Henrik Dannert

CEO

The OKR Book: From Scratch to Success
Download a free copy

okr book get a guide

Explore more posts

  • post-image

    The Misconception of the Schrems

    In many negotiations, the dialogue has been tuned up a few octaves since the Schrems II ruling came into force, which it did on 16th July 2020. The ruling meant, among other things, that the Privacy Shield Agreement was annulled with the United States.

  • post-image

    How will HR change in 2021? Digital HR Trends post-Covid-19

    Business today is all about people, meaning that processes, practices, and upcoming HR trends in the 2020s will be very diverse. In this guide, we will discuss the new normal and the hot HR trends for 2020.